Olli Rehn has said Ireland was on track to exit from the EU-IMF programme as planned.

He said that while significant progress had been made in repairing the banking sector, more needed to be done to enable banks to increase lending to the economy.

17:05

EU Commissioner for Economic and Monetary Affairs Olli Rehn said the "major steps" taken by the Irish authorities regarding the promissory notes should "further boost confidence and help to facilitate a successful outcome."

17:03

Michael Noonan said when the emergency legislation was passed early this morning there was no agreement on a deal with the ECB.

He said the Government only got agreement at the end of the ECB meeting today.

17:01

Sinn Féin leader Gerry Adams told the Dáil that the Government had tied this debt onto our children, who along with their children will spend their lives paying it off.

16:56

<blockquote class="twitter-tweet"><p>Noonan: there was no final "agreement" with the <a href="https://twitter.com/search/%23ECB">#ECB</a> until "after the gov council meeting" around 12pm today</p>&mdash; Tony Connelly (@tconnellyRTE) <a href="https://twitter.com/tconnellyRTE/status/299561627710271490">February 7, 2013</a></blockquote><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script>

16:54

When asked why the ECB "did not back the deal", Mr Noonan said the deal was between the Government and the Central Bank over which the ECB had oversight.

He said unanimous noting is the key issue.

"Mario Draghi decided on this occasion that he wanted unanimity and he got unanimity".

16:49

Michael Noonan said the Government had not been looking for a writedown on the bank debt as the ECB does not give writedowns.

He said the interest would be charged at a floating rate of 3% to 3.5%.

16:49

President Higgins said he followed the debate during the night and this morning he was happy to discharge his duty in relation to having considered it to sign it in time to ensure that everything moves on to the next phase in terms of legislation, which he said was of course not his area.

16:47

President Michael D Higgins said he is happy to say he was afforded the opportunity of giving the IBRC Bill the consideration it undoubtedly deserved.

He said it was a substantial piece of legislation.

16:46

<blockquote class="twitter-tweet"><p>Noonan: we never asked for a write down it would have been pointless <a href="https://twitter.com/search/%23anglo">#anglo</a></p>&mdash; David Murphy (@davidmurphyRTE) <a href="https://twitter.com/davidmurphyRTE/status/299559268129058816">February 7, 2013</a></blockquote><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script>

Fianna Fáil finance spokesman Michael McGrath said there will be disappointment that the deal has not changed the amount of debt that Ireland has to pay back.

He said that by converting the promissory note to Government bonds, we are acknowledging that there will be no retrospective deals for Ireland in terms of the banking union.

16:39

Minister Howlin said in real terms the deal means that in the next decade we will borrow €20bn less and the impact on our deficit...annual benefit next year is 0.6% of GDP

16:38

Brendan Howlin says Mr Noonan has done a great service to the country by delivering the deal to Cabinet.

16:27

Finance Minister Michael Noonan and Minister for Public Expenditure and Reform Brendan Howlin speaking at a news conference. Live on RTÉ One, RTÉ News Now and online

16:23

The Irish Hotels Federation welcomed the Government's announcement of a deal with the ECB on the IBRC Anglo Irish promissory notes.

IHF Chief Executive Tim Fenn said the deal will provide a much-needed boost to consumer confidence and people's ability to spend in the local economy, which will in turn have a significant positive effect on tourism.

16:21

Joint press conference with Michael Noonan and Brendan Howlin is now due to take place at 4.30pm.

16:21

Irish benchmark Government bond yields have fallen to their lowest since before the start of the US sub-prime mortgage crisis, following the announcement of a deal on the Anglo promissory notes.

This will reduce the country's borrowing costs in the future.

The October 2020 Irish bond yield fell as low as 3.955% earlier this afternoon, the lowest seen in an equivalent Irish benchmark bond since early 2007, according to Reuters data.

Mario Draghi said there was no decision today, but the efforts of the Government on this and in relation to economic policy, is what really mattered in the end to re-establish the reputation of Ireland on the financial markets.

14:30

Europe Editor Tony Connelly on Twitter: "Draghi: We took note, we don't want to enter into the details of the swap... (so there is a bond swap)"

"Draghi: I know it's not satisfactory what I'm saying on Ireland, but it's difficult to say otherwise"

14:27

Taoiseach Enda Kenny is expected to address the Dáil this afternoon. Watch live on RTÉ News Now

He said that data suggests further weakness in economic activity in the fourth quarter of 2012 and early in 2013.

13:48

ECB President Mario Draghi is giving press conference in Frankfurt. To watch, click on the panel above.

13:36

Speaking on RTÉ's News at One, Michael McGrath described as "reasonable" the estimated repayments of €700-800m per annum, as opposed to €1.9bn.

However, Mr McGrath said that the key issue is how savings will translate into the Government's budgetary decisions.

13:26

Fianna Fáil Finance Spokesperson Michael McGrath said that while he feels "kicking the capital payment down the road as far as we possible can" through a new deal on bank debt will yield benefits, he feels an injustice has been done to the Irish people.

13:25

Minister for Education Ruairi Quinn said he would take no lectures from Fianna Fáil after what it did when it pushed through the bank guarantee

He said when the Government has any deal, there will be a briefing.

13:23

Sinn Féin's Peadar Tóibín said it was disgraceful that no debate on whatever deal is coming out of Europe is to be debated in the Dáil today.

People Before Profit Alliance TD Richard Boyd Barrett echoed those sentiments and said last night's Bill was forced through without proper briefings and debate.

13:23

Fianna Fáil leader Micheál Martin has said that the way the Dáil is being treated is a disgrace, adding that the Government is using its majority to undermine the house.

Mr Martin said that what happened last night was wrong with no proper briefings.

Sources say the deal will involve the State issuing tranches of new bonds with varying maturity dates.

There is some speculation the average maturity rate may be 35 years.

12:57

It is understood that the promissory notes deal varies from the proposal that was submitted by Central Bank Governor Patrick Honohan.

It is understood this is the first time the proposal will come before Cabinet and there is a a meeting of the Cabinet scheduled for 2pm.

Ministers will need to agree the terms of the proposal that has now been approved by the ECB.

12:50

Meanwhile, the ECB has kept eurozone interest rates steady at 0.75%.

12:49

RTÉ News understands Ireland has concluded a deal with the ECB in Frankfurt. This will require agreement from the Cabinet.

12:48

In a paragraph headed "New Employment with Irish Bank Resolution Corporation Limited (In Special Liquidation)" Mr Wallace said their continued cooperation and assistance during this time is extremely valued by the special liqudators.

He said: "In this context, they would like to offer you new employment to commence immediately on a temporary basis."

12:39

IBRC Special Liquidator Kieran Wallace has formally informed staff that all contracts of employment with the company are automatically terminated with immediate effect.

In an email to all NAMA unit employees, Mr Wallace said that their plan is to have an orderly wind-down of the business.

He said that during this time they plan to continue to manage the business as directed and effect the sale of the assets of the company.

The Central Bank has said it cannot comment on a Reuters report suggesting Ireland has a deal.

12:20

IBRC staff are currently being briefed on the implications of the bank’s liquidation for them.

The first group to be briefed were told that some were going to be kept on, though specific numbers were not given.

It is expected that those staff will be employed on new rolling contracts, but it is hoped that they will retain their existing terms and conditions in the short term.

In the meantime staff are expected to continue to do their normal work.

12:18

Staff at IBRC have been told that they will only receive statutory redundancy following the liquidation of the institution by the Government last night.

Previous redundancy deals at the former Anglo Irish Bank involved payouts of four weeks per year of service inclusive of statutory redundancy.

However, statutory redundancy only allows for two weeks per year of service, capped at €600 per week.

12:10

The EU leaders’ summit in Brussels, which is being held to try to agree a €1 trillion budget, has been delayed until later this afternoon.

An EU source said that the Council President, Herman Van Rompuy, had sought extra time to "fine tune" his compromise proposal, before submitting it to the 27 EU Prime Ministers and Presidents.

The summit is now expected to get under way at around 4.30pm Irish time, instead of 3pm, with the budget proposal being tabled around 5.30pm.

11:39

The Department of Finance has said Ireland has successfully concluded the ninth review of the EU-IMF bailout programme.

In a statement, the department said: "In line with each of the previous quarterly reviews, Ireland has met all of the commitments and our continued strong programme implementation has been recognized by the Troika."

11:28

EU Commissioner for Economic and Monetary Affairs Olli Rehn is to make a statement this afternoon on the latest Troika review mission to Ireland.

It is understood the statement will include a reaction to any deal on promissory notes should an announcement be made at the ECB news conference in Frankfurt.

11:22

The liquidator for the IBRC has confirmed that he will meet the IBRC following a staff meeting. The times of the meetings have not yet been confirmed.

11:21

The IBOA has said there is no guarantee as to how many IBRC workers will be employed following the enacting of legislation to liquidate the bank.

IBOA General Secretary Larry Broderick has said it would be despicable if the reward for their loyalty and dedication was to be cast aside in such a callous fashion.

11:13

Labour Galway West TD Derek Nolan has said that it was not an attempt to "kick the can down the road".

He said if money is pushed down the line and if payment is delayed, then the value will be transferred to the person who has borrowed the money.

11:11

The Quinn Manufacturing Group has said it is "business as usual" at the company after the liquidation of IBRC.

11:10

Joan Burton said the Government's action last night on the promissory notes was "appropriate". She said the focus must now be on the outcome, which is push out the Irish debt so that the economy can grow.

On whether a deal may mean an easing of austerity in the next budget, Minister Burton said it was "too early to say".

11:09

Minister for Social Protection Joan Burton has said Ireland needs the understanding of the ECB and she is hopeful that will be forthcoming.

11:07

The Supreme Court has heard a number of TDs want to join the appeal by businessman David Hall on the promissory note case.

Mr Hall asked the court to give the case priority, as his lawyers said the payment of €3.1bn is still due for payment in March.

Lawyers for the State said events overnight may result in the case becoming moot, or pointless, depending on the outcome of negotiations in Frankfurt.

The Chief Justice said an application must first be made to join the TDs before the urgency of the case can be assessed

Shane Ross said the Dáil debate took just two hours, before it was voted through without amendment and sent to the Senate.

"I remember the bank guarantee, this was worse, we had less time on this than we did on the bank guarantee," Mr Ross said.

10:50

Independent TD Shane Ross has complained that deputies did not have sufficient time to read or fully understand the Bill passed last night to liquidate the IBRC, and he believes that passing this Bill is a decision people will come to regret.

Speaking on Today with Pat Kenny, Mr Ross described the Bill as one of the most important in the history of the State.

He said that he and others were given a ten-minute briefing at 10.20pm, and were then given a half an hour to read the 59-page Bill.

Mr Ross said it was not possible to read it fully in that time, or to make an informed decision on it.

"A number of TDs want to join the #promnote appeal. Chief Justice says that issue must be dealt with first before urgency can be assessed."

10:42

Bloomberg is reporting this morning that the ECB Governing Council is unlikely to make a decision on the promissory note issue at their meeting today, as some members want to discuss it with their own central banks first.

This is according to people familiar with the situation, who asked not to be identified as the negotiations are private.

10:40

Reuters reports that an economist has said the price of a McDonald’s Big Mac shows economic reforms are working in Ireland.

By studying the different prices for a McDonald's Big Mac burger throughout the eurozone between July 2011 and January 2013, Guntram Wolff found evidence that struggling countries including Ireland had tightened their belts and others had not.

The price of a Big Mac has been used by The Economist for decades as a partially tongue-in-cheek way of judging global currency valuations - the idea being that it costs the same to make but is charged at different prices around the world.

Mr Wolff took the data and found that the price rise in Greece, Portugal and Spain has been less than the euro zone average, while in Ireland the price actually fell.

President Michael D Higgins has left Dublin for Rome this morning, having signed the legislation to liquidate the IBRC, after being recalled from his official visit to Italy.

10:10

RTÉ Europe Correspondent Paul Cunningham ‏(@RTENewsPaulC) on Twitter: "@tconnellyRTE in Frankfurt for #ECB meeting; I will report on reaction from EU leaders at Brussels #euco summit."

09:43

Richard Bruton said the Government was well prepared for last night, however he admitted the legislation had to be prepared quickly after the leak.

On the 800 jobs at IBRC, Minister Bruton said he hoped that many staff would be redeployed to work with the liquidator.

09:42

Minister for Jobs, Enterprise and Innovation Richard Bruton has said last night marked an "important milestone" in the Irish banking crisis.

He said it brought an end "to the whole saga of Anglo Irish Bank" and that the legacy of Anglo had to be dealt with.

09:21

"The role of the ECB in aiding the chaos shows that the government has chosen Frankfurt's Way." - Pearse Doherty.

09:19

"This is a humiliating failure for the Government. Having promised change they are now repeating exactly the same mistakes as Fianna Fáil." - Sinn Féin finance spokesperson Pearse Doherty.

09:17

Larry Broderick said IBRC staff had agreements with the Government which provided for continuous employment until the bank was wound down.

He said it was "shocking" that the Government had not addressed the issue as part of the legislation and he said that the Government had terminated contracts and reneged on agreements.

He also said he was calling for a meeting with the Minister for Finance and the liquidator, KPMG, this morning.

09:15

IBOA General Secretary Larry Broderick has described the treatment of staff at the IBRC as "horrendous."

Speaking on Morning Ireland, he said there was no respect for the staff - which he said had been given a task to wind down the company and had agreed redundancy terms.

He said it was "galling" the manner in which IBRC staff were being treated and he said it not a good message to send out to the international community or to any company that was planning on investing in Ireland.

09:10

Audio from Morning Ireland is available here, including Conor McMorrow's report from Kildare Street as politicians briefed the media, TDs reacting to the legislation, and Sean Whelan and Paul Cunningham explaining the consequences.

09:01

The Central Bank has said the appointment of a special liquidator to IBRC triggers the Deposit Guarantee Scheme (DGS) and the Eligible Liabilities Guarantee for the remaining depositors at IBRC.

In a statement, the Central Bank said it will arrange the repayment of duly verified and eligible deposits, up to a limit of €100,000 per person, to eligible depositors at IBRC.

Depositors do not need to take any action; the Central Bank will make payments directly by cheque where applicable.

08:58

IBOA General Secretary Larry Broderick says IBRC staff were due to meet the special liquidator at 9am, but that meeting has been deferred until later this morning with a time yet to be confirmed.

08:58

Tweet from Peter Spiegel ‏@SpiegelPeter: "Note to all Irish radio broadcasters. Please stop calling me! I have newborn at home and calls started at 7:30am, sending home into chaos."

08:55

President Michael D Higgins is expected to leave Dublin late this morning to continue his official visit to Italy after signing the legislation this morning.

08:53

RTÉ Political Correspondent David McCullagh and Business Editor David Murphy are now live on Morning Ireland.

"Confident and optimistic" is how the Government views its chances of getting a good deal from the ECB, according to Minister of State at the Department of Finance Brian Hayes.

08:14

Donal Donovan: "By reducing the €3.1bn principal repayment, pushing it out, we are doing two things: first of all we're reducing the amount the Government has to find every year to borrow from the markets in order to come up with this €3.1bn - it's not going to be zero, but it'll be likely to be much less.

"Second, by pushing it out, we are giving the opportunity for the country to grow and for recovery to take place, so that when we do start to repay this down the road, the cost is not going to be so great. That's not a trivial thing."

08:13

Donal Donovan told Morning Ireland the €30bn Anglo Irish debt had always been, in reality, sovereign debt and it was never on the cards that it would be written down. He said what was significant was that the terms of its repayment would be improved.

08:12

University of Limerick economist Stephen Kinsella has said the proposed deal was akin to "re-arranging the deck chairs".

The proposed deal has yet to be approved by the European Central Bank, and Mr Kinsella said he was not confident that the Government would get the deal it wanted.

He said it was disheartening to think that what he described as the odious debt of IBRC was officially part of the debt of the State.

08:10

The former deputy director of the IMF has said the liquidation of IBRC and the proposed deal on the promissory notes can only make Ireland's economic situation better.

Speaking on RTÉ's Morning Ireland, Donal Donovan said it would reduce the amount the Government had to find every year to pay back the promissory note and would give an opportunity for the country to grow.

08:00

Sean Fleming said he hopes a good deal will be secured on the promissory notes today and that this was a continuation of the banking problems that have been seen in across the Western world.

08:00

Fianna Fáil Public Expenditure and Reform spokesperson Sean Fleming said he hopes the IBRC liquidator will re-employee all staff at the bank as soon as they arrive at work this morning.

Speaking on RTÉ's Morning Ireland, Mr Fleming said he hoped the IBRC employees would be properly treated.